STATEMENT OF STANDALONE UNAUDITED RESULTS FOR THE QUARTER ENDED 30TH JUNE 2016 Refer Note 1 1 Income from Operations (a) Income from Operations 1,22,027 1,46,874 (b) Other Operating Income 1,006 1,156 Total Income from Operations 1,23,033 1,48,030 2 Expenses (a) Cost of Materials Consumed 59,091 76,938 (b) Purchase of Stock-In-Trade 5,448 7,951 (c) Change in Inventories of Finished Goods, (1,269) (1,098) Work-In-Progress and Stock-In-Trade (d) Employee Benefits Expense 11,328 10,497 (e) Power and Fuel 14,947 18,215 (f) Depreciation and Amortisation Expense 3,170 2,967 (g) Excise Duty 4,422 5,095 (h) Other Expenses 12,783 12,945 Total Expenses 1,09,920 1,33,510 3 Profit from Operations before Other Income, Finance Costs and Exceptional Items (1-2) 13,113 14,520 4 Other Income (Refer Note 4) 5,629 2,923 5 Profit before Finance Costs and Exceptional Items (3 + 4) 18,742 17,443 6 Finance Costs 6,246 6,832 7 Profit after Finance Costs but before Exceptional Items (5-6) 12,496 10,611 8 Exceptional Items (Refer Note 3) 1,11,970 2,262 9 Profit before Tax (7 + 8) 1,24,466 12,873 10 Tax Expense (Refer Note 4) 14,206 3,333 11 Net Profit for the Period (9-10) 1,10,260 9,540 12 Other Comprehensive Income (Net of Tax) 9,703 (5,836) 13 Total Comprehensive Income (11 + 12) 1,19,963 3,704 14 Paid Up Equity Share Capital 13,022 13,014 (Face Value of ` 10 each) 15 Earnings per Share of ` 10 each (not annualised) (a) Basic - ` 84.67 7.33 (b) Diluted - ` 84.56 7.32 Page 1/3
Contd. from Page 1 STANDALONE SEGMENTWISE REVENUE, RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER ENDED 30TH JUNE 2016 (Refer Note 1) 1 Segment Revenue Textiles 35,159 41,219 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 50,096 67,166 Rayon Yarn (including Caustic Soda and Allied Chemicals) 25,766 24,576 Insulators 12,012 15,069 Financial Services 1,469 32 Total Segmental Revenue 1,24,502 1,48,062 2 Segment Results (Profit before Finance Costs and Tax) Textiles 3,232 4,699 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 4,546 5,251 Rayon Yarn (including Caustic Soda and Allied Chemicals) 6,325 5,047 Insulators 1,517 2,178 Financial Services 1,401 (31) Total Segment Result 17,021 17,144 Less: Finance Costs (6,246) (6,832) Add: Interest Income (Refer Note 4) 2,886 1,581 Less: Other Un-allocable (Expenditure) / Income - net (1,165) (1,282) Profit after Finance Costs but before Exceptional Items 12,496 10,611 Exceptional Items (Refer Note 3) 1,11,970 2,262 Profit before Tax 1,24,466 12,873 3 Segment Assets As on As on 30 th June 16 30th June 15 Textiles 93,757 87,012 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 1,59,688 1,66,079 Rayon Yarn (including Caustic Soda and Allied Chemicals) 86,245 83,202 Insulators 47,790 48,195 Financial Services 6,08,997 4,15,089 Segment assets 9,96,477 7,99,577 Add: Unallocated Assets 4,26,771 5,36,038 Total Segment assets 14,23,248 13,35,615 4 Segment Liabilities As on As on 30 th June 16 30th June 15 Textiles 41,998 51,152 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 24,622 27,641 Rayon Yarn (including Caustic Soda and Allied Chemicals) 12,968 10,325 Insulators 9,639 8,856 Financial Services 4 3 Segment Liabilities 89,231 97,977 Add: Unallocated Liabilities 49,204 31,023 Total Segment Liabilities 1,38,435 1,29,000 Page 2/3
Contd. from Page 2 Notes: 1 The Company has adopted Indian Accounting Standards (Ind AS) from 01st April,2016. The figure for the quarter ended 30th June,2015 are also Ind AS compliant. These however have not been subject to limited review or audit. The Management has exercised necessary due diligence to ensure that the financial results provide a true and fair view of the Company's affairs. 2 Reconciliation of Net Profit on account of transition from previous GAAP to Ind AS for the quarter ended 30th June, 2015 3 4 30 th June 15 (Unaudited) (Refer Note 1) 7,111 156 2,262 (64) (218) (31) 46 176 150 (48) 9,540 5 Reconciliation of Segment Revenue Quarter ended 6 30th June 16 30th June 15 (Refer Note 1) Total Income from Operations 1,23,033 1,48,030 Other Income of Financial Services 1,469 32 Total Segmental Revenue 1,24,502 1,48,062 7 The previous periods figures have been regrouped or rearranged wherever necessary. 8 Net profit as per Previous GAAP (restated to give effect of scheme of demerger of Garment business) Retirement benefits being Charged to Other Comprehensive Income Gain on fair valuation of Aditya Birla Fashion & Retail Limited (ABFRL) shares received on demerger of Luxury branded and apparels division of Madura Garments Lifestyle Retail Company Limited ( Refer note 3 (b) below) Impact of MTM and Transaction cost on Borrowings Fair Valuation of Derivatives Fair Valuation of Share based payments Fair Valuation of Investments Capitalisation of Capital Spares (Net of Depreciation) Others Deferred Tax Impact of the above items Net Profit as per Ind AS (a) Pursuant to agreement entered into with Sun Life of Canada, the Company has sold 43,72,77,840 equity shares constituting 23% of the issued and paid up equity shares of Birla Sun Life Insurance Company Limited (BSLI). With the regulatory approvals in place, from Insurance Regulatory and Development Authority of India( IRDAI ), Foreign Investment Promotion Board ( FIPB ) and Competition Commission of India ( CCI ) the transaction was consummated during second week of April 2016. The Company has received ` 1,66,400 Lakhs from stake sale and continues to hold the 51% controlling stake in BSLI. Exceptional Item during the quarter represents gain on sale of investment in Birla Sun Life Insurance Company Limited (BSLI) `1,11,970 Lakhs. (b) Pursuant to demerger of Luxury branded and apparels division of Madura Garments Lifestyle Retail Company Limited, the Company has received 13,83,745 shares of ABFRL. As per Ind AS, investment in equity shares are to be initially recognised at fair value. Exceptional item during the quarter ended June 30, 2015 represents gain on fair valuation of ABFRL shares of `2,262 Lakhs. Other Income includes interest on income tax refund of ` 2,532 Lakhs and tax expenses for the period are net off write back of ` 4,271 Lakhs on account of income tax refund received. The Board of Directors of the Company at its meeting held on 11th August, 2016, approved a Composite Scheme of Arrangement between the Company, its wholly owned subsidiary Aditya Birla Financial Services Limited (ABFSL), Grasim Industries Limited (Grasim) and their respective shareholders and creditors under Sections 391-394 of the Companies Act, 1956 and applicable provisions of the Companies Act, 2013 ( Scheme ). The Scheme provides for merger of the Company with Grasim and post said merger, demerger of the financial services business from amalgamated Grasim into ABFSL and consequent listing of the equity shares of ABFSL. The Scheme will be subject to requisite approvals inter-alia from the shareholders, the creditors, the respective Hon ble High Courts and the regulatory authorities. The above results have been reviewed by the Audit Committee of the Board and taken on record at the meeting of the Board of Directors held on 11th August, 2016. The Statutory Auditors of the Company have carried out Limited Review as required under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and the related report is being submitted to the concerned stock exchanges. Place : Mumbai Date : 11th August, 2016 ADITYA BIRLA NUVO LIMITED CIN - L17199GJ1956PLC001107 Regd. Office: Indian Rayon Compound, Veraval - 362266, GUJARAT. E-mail: abnlsecretarial@adityabirla.com Telephone: +91 2876 248401, 245711 Fax: +91 2876 243220 Website: www.adityabirlanuvo.com /www.adityabirla.com An Aditya Birla Group Company Lalit Naik Managing Director Page 3/3
STATEMENT OF CONSOLIDATED UNAUDITED RESULTS FOR THE QUARTER ENDED 30TH JUNE 2016 1 Income from Operations (a) Income from Operations 3,04,130 3,09,132 (b) Other Operating Income 15,306 9,690 Total Income from Operations 3,19,436 3,18,822 2 Expenses (a) Cost of Materials Consumed 59,091 76,938 (b) Purchase of Stock-In-Trade 5,448 7,951 (c) Change in Inventories of Finished Goods, (1,269) (1,098) Work-In-Progress and Stock-In-Trade (d) Employee Benefits Expense 32,783 29,817 (e) Depreciation and Amortisation Expense 4,551 4,064 (f) Benefits Paid - Life Insurance Business 89,353 76,600 (g) Change in Valuation of Liability in respect of Life Insurance (8,359) 7,782 Policies (h) Other Expenses 57,525 55,905 Total Expenses 2,39,123 2,57,959 3 Profit from Operations before Other Income, Finance Costs and Exceptional Items (1-2) 80,313 60,863 4 Other Income 12,432 7,738 5 Profit before Finance Costs and Exceptional Items (3 + 4) 92,745 68,601 6A Finance Costs related to Lending Activity of Subsidiaries 54,458 34,859 6B Other Finance Costs 6,241 6,839 7 Profit after Finance Costs but before share of associate and Joint venture and Exceptional Items (5-6) 32,046 26,903 8 Share of Profit/ (loss) of associate and Joint ventures 8,887 22,930 9 Profit before Exceptional Items and tax expense (7 + 8) 40,933 49,833 10 Exceptional Items (refer note no 3) - 35,474 11 Profit before Tax (9 + 10) 40,933 85,307 12 Tax Expense 8,805 13,794 13 Net Profit for the period 32,128 71,513 14 Minority Interest 1,613 890 15 Net Profit after Taxes and Minority Interest (15-16) 30,515 70,623 16 Other Comprehensive Income (Net of Tax) 8,738 (618) 17 Share of Minority interest in Other Comprehensive Income (319) (1,390) 18 Total Comprehensive Income (15 + 16-17) 39,572 71,395 19 Earnings per Share of ` 10 each (not annualised) (a) Basic - ` 23.43 54.27 (b) Diluted - ` 23.40 54.18 Page 1/3
Contd. from Page 1 CONSOLIDATED SEGMENTWISE REVENUE, RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER ENDED 30TH JUNE 2016 1 Segment Revenue Life Insurance 1,06,030 1,06,823 Other Financial Services 91,848 64,082 Textiles 35,159 41,219 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 50,096 67,166 Rayon Yarn (including Caustic Soda and Allied Chemicals) 25,766 24,576 Insulators 12,012 15,069 Segmental Revenue 3,20,911 3,18,935 Less: Inter Segment Revenue (66) (113) Total Segment Revenue 3,20,845 3,18,822 2 Segment Results (Profit before Finance Costs and Tax) Life Insurance 2,943 1,508 Other Financial Services 17,713 14,682 Textiles 3,232 4,699 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 4,546 5,251 Rayon Yarn (including Caustic Soda and Allied Chemicals) 6,325 5,047 Insulators 1,517 2,178 Total Segment Result 36,276 33,365 Less: Finance Costs (6,241) (6,839) Add: Interest Income 3,025 1,576 Less: Other Un-allocable (Expenditure) / Income - net (1,014) (1,199) Profit after Finance Costs but before Exceptional Items and share of associate and joint ventures 32,046 26,903 Add: Share of Profit from Associates and Joint Ventures 8,887 22,930 Profit after Finance Cost but before Exceptional Items 40,933 49,833 Exceptional items (refer note no 3) - 35,474 Profit before Tax 40,933 85,307 3 Segment Assets (Including Goodwill) As on As on 30th June 16 30th June 15 Life Insurance 33,86,995 32,03,650 Other Financial Services 30,95,243 19,74,035 Textiles 93,757 87,012 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 1,59,688 1,66,079 Rayon Yarn (including Caustic Soda and Allied Chemicals) 86,245 83,202 Insulators 47,790 48,195 Segment Assets 68,69,718 55,62,173 Less: Inter Segment assets (11,557) (4,266) Add: Investment in Associate/ Joint Venture 8,06,568 7,43,671 Add: Unallocated Assets 2,12,106 2,34,727 Total Segment Assets 78,76,835 65,36,305 4 Segment Liabilities As on As on 30th June 16 30th June 15 Life Insurance 32,02,831 30,31,058 Other Financial Services 25,47,137 16,50,592 Textiles 41,998 51,152 Agri - business (Fertilisers, Agro-Chemicals and Seeds) 24,622 27,641 Rayon Yarn (including Caustic Soda and Allied Chemicals) 12,968 10,325 Insulators 9,639 8,856 Segment Liabilities 58,39,195 47,79,624 Less: Inter Segment Liabilities (11,557) (4,266) Add: Unallocated Liabilities 1,12,730 79,812 Total Segment Liabilities 59,40,368 48,55,170 Page 2/3
Notes: Contd. from Page 2 1 2 Reconciliation of Net Profit on account of transition from previous GAAP to Ind AS for the quarter ended 30th June, 2015 3 4 The Company has adopted Indian Accounting Standards (Ind AS) from 01st April,2016. The figures for the quarter ended 30th June, 2015 are also Ind AS compliant. 30 th June 15 (Unaudited) Net profit as per Previous GAAP (restated to give effect of scheme of demerger of Garment business) 77,744 Retirement benefits being Charged to Other Comprehensive Income 252 Accounting for Loss of Control of Garment Business under Ind AS (269) Fair valuation of Investments (20) Fair valuation of Investments of Life Insurance Business (1,501) Fair valuation of Derivatives (219) Fair valuation of Share based payments (92) Expected Credit Loss 1,190 Effective interest on Loans Given (282) Capitalisation of Capital Spares (Net of Depreciation) 176 Change in Valuation of Insurance Liabilities (438) Group Share in GAAP Differences of Associate/ JV (1,566) Share of MI in GAAP Differences 644 Others (10) Deferred Tax on undistributed earnings of subsidiaries/ Joint Venture and Associate (4,876) Deferred Tax Impact of the Above items (110) Net Profit as per Ind AS 70,623 Pursuant to the demerger of branded apparel retailing division of the Company ( Madura Garments) and Luxury branded and apparel division of Madura Garment Lifestyle Retail Company Limited (Madura Lifestyle) from respective companies and merger with Aditya Birla Fashion and Retail Limited (ABFRL) the holding of the Company in ABFRL is 9.1% and hence ABFRL ceased to be subsidiary of the Company. Exceptional item during the previous period amount to ` 35,474 Lakhs on account of loss of control of ABFRL. Pursuant to agreement entered into with Sun Life of Canada, the Company has sold 43,72,77,840 equity shares constituting 23% of the issued and paid up equity shares of Birla Sun Life Insurance Company Limited (BSLI). With the regulatory approvals in place, from Insurance Regulatory and Development Authority of India( IRDAI ), Foreign Investment Promotion Board ( FIPB ) and Competition Commission of India ( CCI ) the transaction was consummated during second week of April 2016. The Company has received ` 1,66,400 Lakhs from stake sale and continues to hold the 51% controlling stake in BSLI. Since the Company retains controlling stake after stake sale, the gain on sale `1,10,000 lakhs (net of tax) has been recognised in retained earnings in Consolidated Financial Results in accordance Ind AS 110 - Consolidated Financial Statements. 5 6 The Board of Directors of the Company at its meeting held on 11th August, 2016, approved a Composite Scheme of Arrangement between the Company, its wholly owned subsidiary Aditya Birla Financial Services Limited (ABFSL), Grasim Industries Limited (Grasim) and their respective shareholders and creditors under Sections 391-394 of the Companies Act, 1956 and applicable provisions of the Companies Act, 2013 ( Scheme ). The Scheme provides for merger of the Company with Grasim and post said merger, demerger of the financial services business from amalgamated Grasim into ABFSL and consequent listing of the equity shares of ABFSL. The Scheme will be subject to requisite approvals inter-alia from the shareholders, the creditors, the respective Hon ble High Courts and the regulatory authorities. The above results have been reviewed by the Audit Committee of the Board and taken on record at the meeting of the Board of Directors held on 11th August, 2016. Place : Mumbai Date : 11th August, 2016 ADITYA BIRLA NUVO LIMITED CIN - L17199GJ1956PLC001107 Regd. Office: Indian Rayon Compound, Veraval - 362266, GUJARAT. E-mail: abnlsecretarial@adityabirla.com Telephone: +91 2876 248401, 245711 Fax: +91 2876 243220 Website: www.adityabirlanuvo.com /www.adityabirla.com An Aditya Birla Group Company Lalit Naik Managing Director Page 3/3